The research of the distributional effect of coverage reforms at the healthiness or welfare of other stakeholder teams, relatively on th e negative and weak, has an incredible function within the elaboration and implementation of poverty relief innovations in constructing nations. in recent times this sort of paintings has been classified as Poverty and Social effect research (PSIA) and is more and more applied to advertise evidence-based coverage offerings and foster debate on coverage reform strategies. whereas details is accessible at the common procedure, ideas, and instruments for distributional research, every one quarter monitors a chain of particular features. those have implications for the research of distributional affects, together with the kinds of affects and transmission channels that warrant specific recognition, the instruments and strategies best, the knowledge resource mostly applied, and the diversity of political financial system elements probably to impact the reform method. This quantity presents an summary of the categorical concerns coming up within the research of the distributional affects of coverage and institutional reforms in chosen sectors. every one bankruptcy deals assistance at the number of instruments and strategies such a lot tailored to the reforms lower than scrutiny, and gives examples of functions of those techniques. it is a better half to the 1st quantity, which bargains assistance on exchange, financial and trade cost coverage, application provision, agricultural markets, land coverage, and schooling. additionally features a CD-ROM containing chapters from better half quantity 1, the PSIA User's advisor, sturdy perform word, E-learning path, and hyperlinks to assets.

Extra resources for Analyzing the Distributional Impact of Reforms, Vol.2

Example text

Edited by François Bourguignon and Luiz A. Pereira da Silva, the book was published by Oxford University Press in 2003. htm for information. See also http://www. org/psia for details about other tools and training materials. 5. org/tips. 6. org/psia. 7. Edited by Aline Coudouel, Anis A. Dani, and Stefano Paternostro and published by the World Bank in 2006. 8. org/tips. 9. org/psia. 10. org/psia. xxx 1 Pension System Reforms Anita M. Schwarz ension systems are designed to provide an income to those individuals who suffer a loss in earnings capacity through advanced age, the experience of a disability, or the death of a wage earner in the family.

As with minimum pensions, this design feature raises incentive issues; if people can earn reasonable pensions with only 10–15 years of contribution, why should they contribute throughout their careers? Nevertheless, countries continue to use this mechanism in the name of redistribution. Unintentional redistribution In addition to intentional redistribution, there are common design features within deﬁned-beneﬁt systems that have unintentional distributive consequences. One of the primary features is the averaging period for wages used to calculate the pensions.

Ideally, the age of retirement should rise as life expectancy and the ability of the older population to work increase, restricting pension beneﬁts to those people who are considered too old to work. An average of 15 years in retirement should be the goal of the pension system. In most cases, raising the age of retirement may reduce the number of lower-income individuals who collect pensions since their life expectancy is generally lower. However, beneﬁts would be available to the survivors, who may be more numerous among lower-income individuals than the survivors of higher-income individuals, and the difference in life expectancy within the covered population, which is, itself, often only the higher-income classes in the country, may not be that great.